News

Chile Beef Bulletin, Pork Production up 9.4 Per Cent

05 December 2012

CHILE - So far this year (January to September) meat production in Chile has risen but exports have fluctuated with exports of beef down on last year but pork exports up. This bulletin contains detailed figures for meat production from the Chilean Ministry of Agriculture.

Meat production increased 5 per cent between January and September on the same period for 2011 reaching a total of 149,215 tonnes. September showed a slight decrease (-1.2 per cent) due to the long Independence Day holiday.

Pork Production

While pork production recorded an increase of 9.4 per cent over the period from January to September 2011 and reached 433,988 tons in September, declined by
20.8 per cent compared to August of this year. Normally there is a low between August
and September, but this year the decline is more evident and may be partly explained
by the largest number of September holidays.

Poultry Production

Poulty meat recorded an increase of 4.3 per cent over the first nine months of 2011. Broilers rose 3.4 per cent consisting of 83 per cent of poultry meat production and Turkeys who rose greater on last year (10.3 per cent).

As in the production of other meats, poultry volumes in September also
saw a sharp decrease compared to the month of August.

Cattle Production

In terms of cattle market sales the most common livestock sale was young bulls. Up to October fat steers continued with the national rise in the nominal price records which began in the June and reached $ 1.178/kilo by the start of October(after a fall that left the average monthly $ 1.033/kilo).

The number of steers slaughtered rose 9.6 per cent compared to January-September period, 2011 which is attributed to the increase in the national cattle herd. Moreover, the
breeding stock slaughter continues in low volumes similar to those recorded in 2011, indicating that the
national bovine mass could continue to grow in the coming year.

Steers sold for backgrounding (stores) followed a similar price increase untill September when the price fell away into October slightly by 2.6 per cent reaching $ 1.041/kilo. At this time in October, pork producers recorded a drop of 7.4 per cent from September.

Meanwhile, the prices of poultry meat have remained
relatively stable. The price of a kilo of chicken registered at 0.7 per cent increase
the period from January to October, 2011, on the contrary, live chickens to record producer
a slight decline of 2.1 per cent in the same period.

Meat Imports

Beef imports up until
month of October 2012 grew by 3.9 per cent, reaching a total of 105,856
tons of imported meat. The main countries supplying meat to Chile are
Brazil (48 per cent), Argentina (21 per cent), Australia (13 per cent), Uruguay (12 per cent) and the U.S. (6 per cent).

This participation could change later this year, because the market between Chile and Paraguay has been reopened for beef. Pork also records an increase, in this case
10.7 per cent, compared to 2011, reaching a total of 14,228 tons. Finally, the
poultry imports are the only recorded a drop in the top ten
months of 2012, reaching 55,967 tons of meat, which means a decrease of
3.4 per cent over the same period of 2011.

Meat Exports

Beef exports have taken a downward trend during 2012. October saw a reduction of 51.1 per cent over the
same period of 2011. This is thought to be due to demand in Chile raising prices greatly above prices of previous years.

By contrast, exports of pork still increased due to the amount of money invested in production. This money was intended to increase exports. Increased exports of pork
registered for the period from January to October was 34.1 per cent over the same period in
2011.

Finally, exports of poultry recorded a rise of 4.3 per cent to
October 2012, reaching a total of 83,760 tons. Main poultry destinations were
were China (18 per cent), Mexico (17 per cent) and the U.S. (13 per cent).